PRE-ELNOK (Repaired) (Repaired)

EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL COOPERATIVEBrgy.
El Nonok,
Banga, South Cotabato
TABLE OF CONTENTS Page
TABLE OF CONTENTS . . . . . . . . 1
List of Tables . . . . . . . . . . 2
ENTERPRISE PROFILE . . . . . . . . 3
INVESTMENT CAPITAL REQUIREMENT . . . . . . 4
EXECUTIVE SUMMARY . . . . . . . . 5
I. PROJECT RATIONALE . . . . . . . . 7
PROJECT OBJECTIVES . . . . . . . 7
General Objectives . . . . . . . 7
Specific Objectives . . . . . . . 7
BRIEF DESCRIPTION OF THE PROPONENT . . . . . 8
II. MARKET STUDY . . . . . . . . . 9
III.1 Product Description . . . . . . . 9
Target market/Buyer . . . . . . . . 10
Marketing Strategy . . . . . . . . 10
Pricing Strategy . . . . . . 11
Production and Operation Process. . . . . . 11
Operation . . . . . . . . 11
Resources Needed . . . . . . . 11
Facilities and Equipment . . . . . . 11
Housing . . . . . . . . 11
MANAGEMENT AND OWNERSHIP . . . . . . 12
III. OPERATIONAL PLAN . . . . . . . . 13
Project Management Roles and Functions . . . . 13
A. COMPARATIVE ANALYSIS OF INDIVIDUAL FARMER INCOME
WITH AND WITHOUT PRDP . . . . . . 15
Production Cost and Return (1cycle) . . . . . 15
Projected Sales for 1 year Period . . . . . .
B. Job/Employment Generation . . . . . . . 17
IV. SOCIAL AND ENVIRONMENTAL SAFEGUARDS . . . . 18
Social Safeguard Aspect . . . . . . . 18
A. Subproject beneficiaries . . . . . . . 18
B. Indigenous Cultural . . . . . . . 18
C. Status of Land Ownership . . . . . . . 18
Environmental Safeguard Aspect . . . . . . 18
Environmental Safeguard Management Plan . . . . 19
V. SUSTAINABILITY . . . . . . . . 27
VI. FINANCIAL ASPECT . . . . . . . . 30
Financial Assumptions . . . . . . . 30
Investment/Project Cost . . . . . . . 31
VII. ANNEXES
1
EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL COOPERATIVEBrgy. El Nonok,
List of Tables Page
Table 1. Enterprise Profile . . . . . . . . 3

Table 2. Investment Capital Requirement . . . . . . 4
Table 3. LP-GOP-LGU Cost Sharing . . . . . . . 4
Table 4. Target Buyer . . . . . . . . 14
Table 5. Cattle Fattening Calendar w/o PRDP citing 1 cattle . . . 15
Table 6. Fattened Cattle Calendar w/o PRDP citing 1 cattle . . . 15
Table 7. Production Cost and Returns (1 cycle/year) w/ PRDP . . . 16
Table 8. Projected Sales in scenarios w/ PRDP intervention 3 cycles in 1 yr . 16
Table 9. Comparative Analysis of Individual Farmers for 1 cattle production . 17
Table 10. Additional Job to be generated . . . . . . 17
Table 11. Total Investment/Project Cost . . . . . . 31
Table 12. LP-GOP-LGU Cost Sharing . . . . . . 31
Table 13. Production Schedule @ 4months/cycle for Cattle Fattening . . 32
Table 14. Purchased Cost . . . . . . . . 32
Table 15. Direct Material Cost . . . . . . . 32
Table 16. Drugs and Biologics . . . . . . . 33
Table 17. Forage Development . . . . . . . 33
Table 18. Depreciation Cost . . . . . . . 33
Table 19. Fuel Consumptions . . . . . . . 33
Table 20. Water Consumptions . . . . . . . 34
Table 21. Lights and Power Consumptions . . . . . . 34
Table 22. Labor Fees . . . . . . . . 35
Table 23. Production Cost and Returns @ 1 cycle . . . . 35
Table 24. Projected Sales . . . . . . . . 36
Table 25. Income Statement of Individual Cattle . . . . 36
Table 26. Income Statement of the Cooperative . . . . . 37
Table 27. Return On Investment . . . . . . . 37
Table 28. Income of the Cooperative . . . . . . 37
List of Figures Page
Figure 1. Organizational Structure of Cattle Fattening Operation . . 12
Figure 2. Organizational Structure of the Cooperative . . . . 13
2
Table 1.ENTERPRISE PROFILE
Title CATTLE FATTENING AND MARKETING

Location El Nonok, Banga, South Cotabato
Components (Indicate one or more enterprise interventions based on enterprise prioritization
results and describe briefly how each component will contribute to the
development of the industry and the goals of PRDP)
Input Provision; Production; Postharvest; Processing;
Marketing/Trading
Products and/or (Indicate product/s form / common name and or services, annual capacity and
Services seasonality, if applicable)
Product/s: FATTENED CATTLE
Service/s: Annual capacity: 81 HEADS
Seasonality: YEARROUND
Stage of enterprise/s X START -up; Expansion; Upgrading
Name of the EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL COOPERATIVE

Proponent Group
Contact Person / GILBERT C. MALUNES / Chairman
Designation
Address El Nonok, Banga, South Cotabato
Contact Numbers Landline:
Fax:
C
Mobile: 09069626011
E-mail: malunesgilbert@gmail.com
Business Registration Cooperative Development Authority; Year Registered: 2009
Securities and Exchange Commission; Year Registered: __________
Department of Labor & Employment; Year Registered: __________
Enterprise Clusters or
other participating
groups
Producers/ Suppliers
Target Buyers Local Buyers/Open Market Buyer to Manila
3
Table 2. INVESTMENT CAPITAL REQUIREMENT

AMOUNT (Php) FUND SOURCE
COMPONENT/ LINE
ITEM
100% LP (Cash) GOP (Cash) LGU (Cash) Proponent Group
Civil Works 60% 20% 20% Cash Kind

Animal Shed (Capacity:
₱ 88,297.50 ₱ 88,297.50
27heads)
Forage Development ₱ 35,319.00 ₱ 35,319.00
Labor Fees ₱ 53,000.00 ₱ 53,000.00
Livestock Technician &
₱ 5,000.00 ₱ 5,000.00
Cattle Supervisor
Lights and Power ₱ 7,200.00 ₱ 7,200.00
Water Consumption ₱ 2,755.62 ₱ 2,755.62
Fuel Consumption ₱ 21,420.00 ₱ 21,420.00
Total enterprise cost ₱ 212,992.12 ₱ 28,620.00 ₱ 184,372.12
Cattle to be Fattened
(total of 27steers) at 275-
₱ 675,000.00 ₱ 405,000.00 ₱ 135,000.00 ₱ 135,000.00
325 Kgs cost per head of
25,000
Forage Chopper ₱ 123,000.00 ₱ 73,800.00 ₱ 24,600.00 ₱ 24,600.00
Raw Materials for
₱ 193,162.00 ₱ 115,897.20 ₱ 38,632.40 ₱ 38,632.40
Concentrate
Cattle Biologics ₱ 8,838.00 ₱ 5,302.80 ₱ 1,767.60 ₱ 1,767.60
Project Cost ₱ 1,000,000.00 ₱ 600,000.00 ₱ 200,000.00 ₱ 200,000.00
GRAND TOTAL ₱ 1,212,992.12 ₱ 28,620.00 ₱ 184,372.12
In a 1.2 million micro-enterprise, EPMPAC allotted an amount of Php675, 000.00 for

27 steers, Php123, 000.00 for forage chopper that will be utilized for the cattle fattening
operations, P193, 162.00 for the raw materials in formulating concentrate and P8, 838.00
for the cattle drugs and biologics. The PG will have a Cash and Kind Equity amounting to
Php212,992.12
Table 3. LP- GOP- LGU COST SHARING INFASTRUCTURE

ENTERPRISE COST COST
Cost Cost
Sharing Sharing TOTAL
FUND SOURCE Amount PhP (%) Amount (%) AMOUNT PhP
LP 600,000.00 60 80 600,000.00
GOP 200,000.00 20 10 200,000.00
LGU 200,000.00 20 10 200,000.00
TOTAL 1,000,000.00 100 100 1,000,000.00
PG EQUITY 212,992.12 21.29% 212,992.12
TOTAL WITH PG 1,212,992.12 1,212,992.12
The financing mix will be 60-20-20-20, Php600,000.00 will be for the Loan Proceed
(LP), Php200,000.00 for the Government of the Philippines (GOP), Php200,000.00 for
the Local Government Unit (LGU) and Php212,992.12 for the Proponent Group (PG)
with a total amount with Php1,212,92.12
4
EXECUTIVE SUMMARY
The barangay El Nonok in the municipality of Banga, province of South Cotabato, is

located (3) kilometers from the highway between Koronadal City and Banga. It can be
accessed through an all-weather barangay road almost (7) kilometers from the town proper
of Banga. The barangay land area is all fertile flat land conducive to rice, corn, banana,
coconut, and other cash crops.
With the advent of the dry spell called El Niño phenomenon, the crops of the farmers
in El Nonok suffered a lot. There were crops that did not make it to harvest time and the
plants all dried up. The income of the farmers from their cash crops before the dry spell was
at an average of Php4,000.00 per month, with the dry spell it is already fortunate if they can
get an average of Php2,000.00 a month from whatever were left of their crops.
The source of income of the barangay populace is from farming and there is a lack of
other sources of income. In a Focus Group Discussion (FGD) conducted by MAFC in the
barangay, the participants reported the lack of alternative sources of income in their
community.
Here the government, more specifically the Department of Agriculture thru the
Philippine Rural Development Project (PRDP), comes to their rescue with the Project’s
Calamity Stricken and Conflict Affected areas fund support that will give assistance to the
farmers who are adversely affected the dry spell to the El Nino Phenomenon especially in
the province of South Cotabato.
Feedlot cattle fattening can be an alternative source of income of the farmers. Cattle
fattening has gained prominence as an important business project of the livestock industry
in the Philippines. It gives the farmers year-round work and provides him with extra income
without putting much time for the care of the animal. The cooperative through the farmer
members have enough pasture space under coconut for cattle in their community.
The proponent group EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL

COOPERATIVE (EPMPAC) is a multi-purpose cooperative duly registered with the
Cooperative Development Authority on December 15, 2009 in Kidapawan City with
registration No. 9520-12004467 and likewise registered with the Bureau of Internal
Revenue on September 28, 2011 with registration No. COOP-00030-11-RR-18-RDO-111.
The cooperative is composed of thirty two (32) members, almost all the members have
already experience in cattle fattening. The farmers will undergo training on the proper care
and management of cattle fattening and also simplified financial management so that they
can operate the enterprise properly and profitably towards a sustainable livelihood at the
same time make their cooperative prosper and grow.
5
The group was chosen for this project based on the following factors: The members
are all farmers who are engaged in planting coconut, banana and corn products, they are
already organized and registered as a cooperative, they have experienced losses due to the
El Niño phenomenon that they really need PRDP, some of them have already experience in
the chosen livelihood project, and their perseverance in pursuing the project.
The PG will get twenty seven (27) steers to be fattened for four (4) months for three
(3) cycles. Stock to be purchased will be carefully selected. They will be purchased from
reliable sources in the neighboring provinces. Proper handling during transport of the
animals will be observed to avoid injuries and minimize stress.
There will be marketing arrangements within the province to ensure a good price for
the fattened cattle. If expansion will be ventured later, there is a big export market in the
Middle East for cattle meat products.
Even before the requested livelihood project is approved, the proponent group has
already establish contacts with the local buyers of cattle in the open market and with volume
buyers from Manila, so that there will be no problem in marketing of animals when they are
already due for disposal. The proponent group will see to it that the fattened cattle are well
fed and cared of so that they will achieve the desired weight gain at the end of the four (4)
months target period of fattening.
The animals will be inspected from time to time to ensure that they are always in good
health. After 4 months when the animals are already fattened and ready for market, the
buyers together with the proponent group, the cattle will be hauled from the farm to the
public scale. The proponent group will depend on the prevailing buying price or on the
marketing agreement with the buyer. The target price that the proponent group expect to
get is Php95/kilo base on live weight for cattle fattened four (4) months. The animals will
be sold in cash basis. The average Return of Investment (ROI) for three year period of
operation will be 24.17%%.
The proposed project on Cattle Fattening of El Nonok Primary Multi Purpose

Agricultural Cooperative (EPMPAC) will have a total project cost of Php1,212,992.12 which
composed of: The Loan Proceed LP is amounting to Php600,000.00, Government of the
Philippines GOP Php200,000.00 and Local Government Unit LGU Php200,000.00. Out
from the total project cost, the Proponent Group (PG) will have an equity amounting to
Php212,992.12 which is composed of Animal Shed, labor cost, and other selling and
administrative expenses.
6
I. PROJECT RATIONALE
With the advent of El Niño phenomenon, the crops of the farmers in El Nonok, Banga,
South Cotabato more specifically the members of the El Nonok Primary Multi Purpose
Agricultural Cooperative suffered a lot. There were crops that did not make it to harvest
time and the plants all dried up. The income of the farmers from their cash crops before the
dry spell was at an average of Php4,000.00 per month, with the dry spell it is already
fortunate if they can get an average of Php2,000.00 a month from whatever were left from
their crops.
Farming is the only source of income of most of the Barangay populace and there is
no more other source of livelihood or income, hence this project was conceptualized
Here, the government, more specifically the Department of Agriculture and LGU, thru
its Philippine Rural Development Project (PRDP) comes to their rescue with the Project’s
Calamity Stricken and Conflict Affected areas fund support with their assistance.
Backyard cattle fattening can be an alternative source of income of the farmers. Cattle
fattening has gained prominence as an important business project of the livestock industry
in the Philippines. It gives the farmers year-round work and provides members with extra
income without putting much time for the care of the animal. The farmers have enough
pasture area for cattle in their community.
The proponent group EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL
COOPERATIVE (EPMPAC) is a primary cooperative duly registered with the Cooperative
Development Authority on December 15, 2009 in Kidapawan City with registration No.
9520-1200-4467 and likewise registered with the Bureau of Internal Revenue on September
28, 2011 with registration No. COOP-00330-11-RR-18-RDO-111. The cooperative is
composed of thirty two (32).
The group has chosen this project based on the following factors: The members are
all farmers who are engaged in planting coconut, banana and corn products, already
organized and registered as a cooperative, they have experienced losses due to El Niño
phenomenon that they really need PRDP, some of them have already experience in the
chosen livelihood project, and their perseverance in pursuing the project.
PROJECT OBJECTIVES
General Objective:
The project aims to improve the lives of members by providing them

additional income especially those who are marginalized members.
A. Specific Objectives:
1. Provide alternative source of income to 32 member beneficiaries
7
2. Increase the individual farmer income by 40% from 3,017.94 to 4,231.77 per
cycle.
3. Generate at least 10 jobs for the whole duration of the subproject.
4. Provide quality and healthy cattle when sold to encourage repeat purchase of
the buyer.
5. Increase the volume of cattle in the community by 81 heads per year
6. Fattened 27 heads for four (4) months as one (1) cycle and 81 heads for three
(3) cycles for one (1) year.
BRIEF DESCRIPTION OF THE PROPONENT
The cattle fattening operation is not so complex from silage production management,
feeds processing and feeding operation. Cooperative member will be trained and
capacitated as Animal nutritionist so as to come up with high quality feed formulation and
good nutrition of the steer.
The whole business enterprise of cattle fattening will be managed by EPMPAC. It has
gainfully operating since it was organized as cooperative since 2009. The cooperative
officers and management will create a committee to handle the subproject of cattle fattening
micro enterprise.
The proposed micro enterprise requires a capitalization of Php 1 million and
Php212,992.12 plus feedlot area(15m x 50m, forage area(8 ha.), as proponent equity . the
Loan Proceeds Cost (LP) Php600,000.00, Government of the Philippines (GOP) Php
200,000.00, Local Government Unit (LGU) Php 200,000.00. Based on the financial analysis,
the proposed enterprise is profitable with an average Return On Investment (ROI) for
three (3) years projection of 24.17%. The computed ROI is attributed to the faster feed to
attain the body weight conversion ratio of cattle using the right feeding ration of the
enterprise.
The PG has total of 32 member-beneficiaries, of which fourteen (14) are female and
eighteen (18) are male. The member-beneficiaries are purely farmers engaged into rice
production, corn, coconut and other high value crops with a total land holding of 116
hectares. Table below shows the disaggregation of members by ethnicity and by gender.
Name of PG No. of HHs Individual Members
IP Non- Total IP Non-IP Total
IP Male Female Male Female
EL NONOK PRIMARY 2 30 32 2 0 16 14 32
MULTI-PURPOSE
AGRICULTURAL COOP.
8
II. MARKET STUDY
Product Desription
The proponent group will engage into cattle fattening preferably Brahman. Other
breeds available are also considered such as Ongole and Indu-Brazil. Improved breeds and
crossbreeds were preferred than native breeds because of their improved traits, e.g gain
weight faster, quality of milk and meat.
Furthermore, tropical breeds are more adaptable to local climatic and feed conditions
than temperate breeds.
Breed – Improved breeds and crossbreeds gain weight faster than native animals.
Tropical breeds are more adaptable to local climatic and feed conditions than
temperate breeds.
Some of the recommended tropical breeds are:
Brahman – color is silver gray, some are reddish. This breed is resistant to diseases
and can withstand heat better.
Ongole or Nellore – color is white. The bulls may have dark gray head, neck and
hump. Knees may be black.
Indu-Brazil – colors vary from light to silver gray and brownish dark gray to red.
Whatever breed is chosen the following factors are considered: age, sex and the
ability to gain weight.
Age is important in selecting feeder stock. In this regard, it is a choice between two
kinds of feeder stock: the young ones or the older ones.
“Two or three year old cattle are cheaper to buy and acquire less feed for every unit
of weight gain because they digest more efficiently. But they need longer period of feeding
in higher feed quality to reach desired finish.
Older feeder stocks (four years and above), on the other hand, need less time to fatten.
They also eat a larger variety of feeds and roughage. Normally, older stock finish more
uniformly than the young ones. The preferred Brahman will be bought in the nearby places
as to its availability within the region and if still there is a shortage it will be bought to nearby
regions.
If nutritious feed is abundant, young cattle are generally more profitable to raise than
older ones, but if roughage and farm by-products are available, older stocks are preferable.
Since the community where these cattle will be fattened have roughage and abundant farm
by-products it is preferable to choose the older ones to fatten.
9
Steers (castrated males) and improved breeds are preferable over heifers (female
calves) and purely native animals since steers and improved breeds gain weight faster and
easier to manage.
The PG will get twenty seven (27) steers to be fattened for four (4) months for three
(3) cycles. Stocks to be purchased will be carefully selected. They will be purchased from
reliable sources in the neighboring provinces. Proper handling during transport of the
animals will be observed to avoid injuries and minimize stress.
Health Condition
A healthy animal is alert and active, has bright eyes, smooth hair coat and moist
muzzle. The animals should be properly vaccinated before they are brought home for
fattening. If not, they must be referred to the nearest Bureau of Animal Industry (BAI) office
for vaccination against hoof-and-mouth disease and hemorrhagic septicemia.
Also, the animal must have a fecal examination to find out appropriate deworming
drugs. It is necessary to control external parasite with the right spray for ticks, lice and flies.
Marketing Strategy
Product Strategy
Even before the requested livelihood project is approved, the proponent group has
already establish contacts with the buyers of cattle in the open market and with volume
buyers and the slaughterhouse in Koronadal City, so that there will be no problem in
marketing the animals when they are due to be disposed of. The proponent group will see to
it that the fattened cattle are well fed and cared for so that they will have the desired weight
gain at the end of the four (4) months target period of fattening. The animals will be
inspected from time to time to be sure they are always in good health to be ready for the
market.
Pricing Strategy
The proponent group will depend on the prevailing buying price in the market so it
needs a good timing when to dispose the animals due for disposal. The target price that the
proponent group expect to get is Php 95.00/kilo at live weight for the cattle already fattened
for four (4) months which is based on past experiences of those members who had already
experience in cattle fattening. The animals will be sold in cash basis.
Channels of Distribution
The fattened cattle to be delivered are already contacted with the buyers to be shift
in Metro Manila. The fattened cattle will be subjected for public scale to determine the actual
weight of the animals.
10
Promotional Activities
The commodity will be promoted through contacts in the open market, volume
buyers and slaughterhouse that will be done before the livelihood project is approved.
Buyers are already aware of the existence of the commodity when they are ready to be
marketed. Word-of-mouth promotional scheme can also be utilized to promote the cattle to
the market.
Production and Operation Process
Operation
Twenty seven (27) heads of steers will be fattened for 120 days, and sold to the open
market or other buyers. There will be three (3) cycles in a year. The net profit will be divided
as follows: fifty (50) percent goes to the respective member and twenty five (25) percent
goes to the cooperative as share of the profit and twenty five (25) percent to the expansion
of the cooperative.
Resources Needed
With the majority of livestock raised on small farms, the feeding of animals in mixed
crop/livestock farming systems revolves around the use of crop residues, weeds, tree leaves
and other farm by-products.
Gathering forage is a year-round activity of the Cooperative. The animals will be fed
both roughage and farm by-products available in the area like banana leaves, banana fruits
that are rejects from the nearby plantation, In addition, crop residues and other farm by-
products like pineapple pulp, rice straw, corn stovers, and ipil-ipil leaves may also be used
extensively.
The cattle will be in feedlot fattening for 120 days be feed 10 percent forage based
on body weight and 1 percent concentrate.
Facilities and Equipment
Housing
Proper housing is important in successful cattle fattening operation. Adequately

protect the animals against the adverse effects of weather when they are raised in relatively
small areas.
The housing will be made of light materials with GI corrugated roofing, bamboo or
coco lumber frames, rough concrete flooring that is a little elevated to give way to easy
cleaning of the floor from the animal dung. There will be fed trough and water trough. The
shelter is open-sided and will be located near the farmer’s house or under the shade trees.
The height ranges from 1.7 to 1.9 meters while the width varies from 2.1 to 2.7 meters. Each
animal will be allocated with 1.5 to 4.5 sq. meters.
11
The cost of the cattle housing will be charged to PG equity at a cost of Pesos or a total
cost of Php88,297.50 which will last for an estimated life of five (5 years).
Ownership and Management
The subproject will be managed by the El Nonok Primary Multi Purpose Agricultural
Cooperative (EPMPAC) a primary producers cooperative duly registered with the
Cooperative Development Authority on December 15, 2009 in Kidapawan City with
registration No. 9520-12004467 The cooperative is composed of thirty two (32) members
who are active & have already experience in cattle fattening. The members are all farmers
who are engaged in planting coconut, banana and corn products. But all of the coop members
will undergo training on the care and management of cattle and simplified financial
management to prepare themselves for the livelihood project.
Figure below shows the organizational structure of the cooperative, and their
subsequent functions, in which every position will be manned by an elected member with
perceived competence to assume and effectively deliver the assigned duties and
responsibilities for project operation. The organization will formulate a project operations
manual prescribing the necessary procedures and protocols to be followed by all the
members of the association, to help ensure the project success and sustainability.
Figure 1. Organizational Structure of Cattle Fattening Operation.
GENERAL MANAGER to
oversee the operation of
the project
OPERATION IN-CHARGE To
monitor and facilitate the
operation of the project
BOOKEEPER/CASHIER To
LOCAL TECHNICIAN To
record all monetary & non LABOR/CARETAKER- To
check daily the health of
monetary transactions of man the operation
the cattle
the project
III. OPERATIONAL PLAN
12
Figure below shows the Organizational Structure of the cooperative and their
subsequent functions. The organization have formulated a project operations manual
prescribing the necessary procedures and protocols to be followed by all the members of the
cooperative to help ensure the project success and sustainable.
Figure 2. Organizational Structure of the Cooperative.
ORGANIZATIONAL STRUCTURE
General Assembly
Board of Directors
Cattle Fattening Education & Training

Project Committee
AUDIT COMMITTEE ELECTION COMMITTEE
Project Management Roles and Functions

MED-CON Ethics
Committee Committee
Treasurer Secretary
Management
Staff
The cooperative is operated by the following officers and committee members who
are duly elected by the General Assembly which is the highest decision-making body that is
composed of all members of the cooperative.
Board of Directors – Provide general policy direction; formulate the strategic development
plan; perform such other functions as may be prescribed in the By-Laws or authorized by
the GA.
Chairperson – set the agenda for board meetings in coordination with the other members
of the BOD; preside over all meetings of the BOD and of the General Assembly; sign contracts,
agreements, certificates and other documents on behalf of the cooperative as authorized by
the BOD or by the GA; perform such other functions as may be authorized by the BOD or by
the GA.
13
Vice-Chairperson – Perform all the duties and responsibilities of the Chairperson in the
absence of the latter; acts as Ex-Officio Chairperson of the education and Training
Committee; perform such other duties as may be delegated by the BOD.
Treasurer – Ensure that all cash collections are deposited in accordance with the policies
set by the BOD; have custody of all funds, securities, and documentations relating to all
assets, liabilities, income and expenditures; monitor and review the financial management
operations of the cooperative, subject to such limitations and control as may be prescribed
by BOD; perform such other functions as may be prescribed in the By-Laws.
Secretary – Keep an updated and complete registry of all members Record, prepare and
maintain records of all minutes of all meetings of the BOD and the GA; ensure that necessary
BOD’s actions and decisions are transmitted to the management for compliance and
implementation; perform such other functions as may be prescribed in the By-Laws or
authorized by the GA.
General Manager – Oversee the overall day-to-day business operations of the cooperative
by providing general direction, supervision, management and administrative control over all
the operating departments subject to such limitations as may be set forth by the BOD or the
GA; perform such other functions as may be prescribed in the By-Laws or authorized y the
GA.
Production and Operation Process
Per agreement among the thirty two (32) members of the cooperative, the (27)
heads cattle will be fattened for four (4) months and sold to the open market or other buyers.
There will be three (3) cycles in a year. The Cooperative had already established a local buyer
in the name of Mr. Vicente S. Sumalinog Jr. a cattle businessman of T’boli South Cotabato
at the same time a supplier of the steers of the three proponent groups. He is willing to sign
any memorandum of agreement with regards to Cattle Fattening and Marketing. The
Cooperative will look forward in the establishment of its open Market in Manila. He will
deliver steers at the stockyard or feedlot of the Cooperative and after fattening of 4 months,
he will pick up the fattened cattle at the feedlot and pay at a cash to cash in the said
transaction. Rest assured that the target price expected to get is on thirty nine thousand nine
hundred pesos (Php39, 900.00) minimum at expected final weight of 420kg at a price of
95.00/kg live weight. The net profit of each member will be divided as follows: fifty (50)
percent goes to the respective members and twenty five (25) percent goes to the cooperative
as share of the profit and (25) percent will be used for the expansion.
Table 4. Target Buyer
Volume Frequency of Marketing

Nameof Buyers
Demanded Delivery Agreement
Local Buyers 48 By Cycle Initial Talks
Neighboring Municipalities/Region 80-100 By Cycle Initial Talks
14
Source: OMAG Banga and OPAG South Cotabato
The total volume demanded by local buyer is 48 annually or 16 heads per cycle or 1
head per week. From the neighboring municipalities/region, a total volume demanded of
80-100 heads or 20-25 heads per cycle. This shows that the enterprise can supply the
demand within the area and has an excess capacity to supply the neighboring
municipalities/region
A. Comparative analysis of individual farmer income under scenarios of:

(a) Without the PRDP Project and
(b) With the PRDP Project.
Table 5. Cattle Fattening Calendar w/o PRDP citing 1 cattle.

Particulars Mo.1 Mo.2 Mo.3 Mo.4 Total
No. of
Heads
Cattle Purchasing & Growing Growing Growing &
Growing Marketing
1 Cattle 1
Table 6. Fattened Cattle Calendar w/o PRDP citing 1 cattle.
Particulars Mo.1-3 Mo.4-6 Mo.7-9 Mo.10-12 Total
No. of Heads
Fattened Cattle 1
Average Weight
(initial weight) 180kg
Total Production 300kg
From the tables 5 and 6 which shows the cattle calendar, the fattening period is 4
months with an output weight of 300 kg in the 4th month period of fattening. The initial
weight of the cattle is 180 kgs and the expected output after fattening is 300 kg.
Production Costs and Returns (one-cycle/yr) w/o PRDP citing 1 cattle.

Production costs and returns summarize all the costs and returns that can be
derived per production cycle of any commodity or product.
15
Table 7. Production Costs and Returns (one-cycle) w/ PRDP citing one cattle
w/ PRDP
Particulars
One (1) cycle/yr.
I. Production Volume (Final Wt. of Cattle)

420 kgs
II. Selling Price (Php/kg) 95.00
III. Total Gross Sales (Php) 39,900.00
IV. Production Cost
Cost of Cattle @ initial wt. of 180kgs 25,000.00

Labor @ P18.50/day 1,962.96
Dewormer 129.63
Vitamins EDA 80.00
Vaccines 117.70
Water Consumption at 10.20 cubic meters
102.06
Direct Materials Input 7,154.15
Indirect Materials 1,060.00
Livestock Technician & Supervisor 61.73
Total Production Cost (PhP) 35,668.23
B. Total Cost (PhP) 35,668.23
C. Net Income 4,231.77
On the data being presented on the tables, the proposed project cattle fattening and
marketing results showed that there is an increase of income of farmers. Intervention of this
subproject really augmented the farmer’s beneficiary income at 40%. It adds additional job
employment since cattle fattening needs a caretaker and laborers at the same time a
technician from livestock sector that will check the health condition of the cattle.
Table 8. Projected Sales in scenarios with PRDP intervention 3 cycles of its 1 year of
operations.
Particulars 1st cycle 4mos. 2nd cycle 4mos. 3rd cycle 4mos. Year 1 Total
Total volume
per delivery
(in heads) 27 heads 27 heads 27 heads 81 heads
Number of
deliveries 1 1 1 3
Total
volume(in kg) 11,340kg 11,340kg 11,340kg
34,020.00kg
Price per unit 39,900.00 39,900.00 39,900.00 39,900.00
Total Sales 1,077,300.00 1,077,300.00 1,077,300.00 3,231,900.00
PhP
16
Table 9. Comparative analysis of income of individual farmers for one year of

operation without PRDP and With PRDP.
Without PRDP With PRDP
(per stock)1cycle (per stock)1
Particulars
1yr. cycle 1yr.
I. Production Volume
300/cattle 420/cattle
II. Selling Price (PhP) P 90.00/kg P 95.00/kg
III. Total Gross Sales (PhP)

P 27,000.00/cattle P 39,900.00/cattle
IV. Total production Cost P 23,982.06/cattle P 35,668.23/cattle
V. Net Income (PhP) P 3,017.94 P 4,231.77
% increase in income 40%
A. Job/Employment generation
As the project soon will be implemented job/employment will be generated, as

mentioned jobs for labourers, caretaker, coop cattle supervisor and livestocks technician will
be hired as manpower to manned the operations. The officers of the cooperative will monitor
the entire operation everyday.
Table 10. Additional Jobs to be generated
Job Number of Jobs Cost Equivalent (per person per

classification/ year)
Position Without With PRDP Without PRDP With PRDP
PRDP PhP PhP
Caretakers 1 2 3,650.00 38,400.00

Laborers 8 14,600.00
Livestock
technician 1 2,500.00
Coop cattle
supervisor 1 2,500.00
TOTAL 1 12 3,650.00 58,000.00
17
IV. SOCIAL AND ENVIRONMENTAL SAFEGUARDS
Social Safeguard Aspect
A. Subproject Beneficiaries
The beneficiaries of the subproject are thirty (32) members who are all active have
already experience in cattle fattening.
The group was chosen or this project based on the following factors: The members
are all farmers who are engaged in planting coconut, banana and corn products, already
organized and registered as a cooperative, they have experienced losses due to the El Nino
phenomenon that they really need this PRDP assisted SLP, some of them have already
experience in the chosen livelihood project, and their perseverance in pursuing the project.
Two are members of the Indigenous People (IPs) Blaan community. The consultation
meeting was held at EPMPAC office, municipality of Banga, province of South Cotabato on
June 18, 2016 as per attached copy of their attendance and photo. They have accepted the
project as some of them had already experience in the backyard cattle fattening and it is the
project that is doable in their area.
Concerns and inputs during the meeting:
1) Stability of the market of cattle;

2) Will they be assisted in managing the enterprise?
3) Will they be assisted in linking to new markets?
4) Possibility of developing value-adding ventures.
B. Indigenous Cultural
The project is not located in an ancestral domain. Likewise, there are no Indigenous
People (IPs) living in the area. But we have two members who are member of the (IP) Blaan
community.
C. Status of Land Ownership
The Proponent group has no available area for the site of the project, but some
members has available area under coconut be utilized for forage area production and a
portion of it will be the actual site where the project be put up. We will just execute a
memorandum of agreement to the said members before the project implementation.
Environmental Safeguard Aspect
A. Natural habitat
18
The project site is not traversed by proposed road, actual site of the PWS or structure,
and there are no vegetation, wildlife, presence of ecosystems and other important species
that will be endangered by the subproject in their area.
The project site is not within an officially declared or proposed protected area of
natural habitat.
B. Hazards/Risk Assessment (Drainage Situations, Erosion and Flooding Potential)
There is no drainage situation, erosion and flooding potential involved in the

enterprise of cattle fattening by EPMPAC. However, we will provide septic tanks to separate
water from the feces.
C. Social and environmental Impact
The proposed enterprise has big socio-economic benefits not only to the direct
members and their immediate families but also to other residents of the community. First,
this project can give income opportunity to the members and their families. With this, it
helps to uplift their economic status. Second, it will serve as an avenue of attaining unity
within the members and the entire community.
Social impact
The proposed enterprise will improve the social economic status in the community
because it is income-generating. The farmer-beneficiaries and the members of their
families will have improved self-esteemed and there will be harmony among them there
will be lesser incidence of criminality when the people have alternative sources of income
than when there is none.
Environmental impact
There will be no negative environmental impact caused by the proposed enterprise

since the dung of the animals to be fattened can be used as organic fertilizer for the crops of
the farmers. So, instead this enterprise is environment friendly.
The following is necessary to comply for the projects to wit:
1. The enterprise will pass social and environmental plan to ensure

beneficiaries’ social rights and eco-friendly impact of the project.
2. Proper harvesting, handling or hauling operation of the product is of great
need.
3. Secure enabling instruments of all SES compliance needed by the funding
agency such certificates/ permits from DENR/BFAR and enterprise
agreement, if necessary.
19
ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN (ESMP)
ANIMAL RAISING SUBPROJECT
A. Site and Design Consideration

1. The Project does not encroach into or traverse into a forest and/or declared protected
area of natural habitat.
2. The Project will not displace, disfigure or render inoperable/inaccessible any
monument or physical structure of known cultural and historical significance.
Project ID
Project Name/Title : Cattle Fattening and Marketing
: Php1,000,000.00
1.1 Project Cost
: Purok Camdas, El Nonok Banga South Cotabato
1.2 Project Location
2.0 Proponent ID
El Nonok Primary Multi Purpose Agricultural
2.1 Name of
: Coopertive
Proponent
2.2 Address of : Purok Reyes, El Nonok Banga South Cotabato

Proponent
2.3 Contact Person : Gilbert C. Malunes
3.0 Project Design & Specifications. (Attach supplemental information where deemed
necessary for planning/costing purposes)
3.1 Type of building: [ x ] non-hazardous storage facility
3.2 Total area: 450 m2 Floor area: 80m2
3.3 Building Material: [x ]concrete [x ]wood [ ] others: bamboo
3.4 Utility Requirement: [ x ] water: 91.85m3 [ ] electricity: 720KW-HR
3.5 Utility Sourcing : a) water source: b) electricity:
B. Environmental and Social Issues and Mitigation Measures

Issue Assessment Mitigation Schedule/ Instrument of Responsi
(Potential Measure Duration Implementatio ble Unit
Impact) of the n (POW,
Mitigation Contract, or
Measure O&M Plan)
2. Consistency Current land [x] Attached Prior to Contract Proponent
with land use. use within 1 km proof of start of the Group
radius (as per compatibility agricultural
zoning with land use. crop
ordinance). activity.
20

Measure O&M Plan)
[x] Proof of
compliance
Agricultural/ with the
Recreational Municipal
Zoning
ordinances and
regulations.
3. Disturbance [x] Existing
to wild life due vegetation in the
to vegetation area:
clearing. [x] Agriland
4. Methane [x] The [x] Compliance During O&M Proponent
Gas emissions in the with conditions operation Group
Production, atmosphere due of DENR and
Green House to animal DAs Bureau of
Gases (CO2, breeding/raisin Animal
CH4, nitrous g vary with the Industry about
oxide). number of heads rules and
to be raised. regulation
regarding
animal raising.
[x] Employ the

suitable
environmenta
l control of the
animal wastes.
5. Increase of [x] There will [x] Proper During O&M Proponent

solid waste due be significant handling, operation Group
to animal volume of waste collecting and
excreta. generated disposal of
during the waste.
raising of these
animals [x] Manage
excreta waste
using
composting
process and
then use as soil
enhancer/fertil
izer for local
crops.
6. Potential Emission in Air: [x] Apply an Project O&M Proponent

issue on Odor from odor operation Group
manure odor wastewater, management period
and dust. feces, and plan (OMP) to
Animal decaying help farmer
manure can be carcasses. assess odor
a big source of issues in the
methane and farm and
nitrogen
oxides.
21

Measure O&M Plan)
Odorand alleviate the
methane can issue.
be prevented
through a [x] Odor and
digester. methane can be
controlled by
anaerobic
treatment
through a
digester.
[x] Practice
composting of
animal
manures to
produce
organic
fertilizers.
[x] Provide
covers for the
composting
facility.
7. Issues on Air [x] The [x] Proper Project O&M Proponent
Pollutions: considerable collection and operation Group
dust, dirt and volumes of covering of period
pathogenic excreta from solid
viruses the animals that waste/excreta
suspended in will be raised. produced by
air and the animals.
substances by
Volatile [x]Apply an
[x] Animal odor
Organic grazing can management
Compounds cause dust and
from animal plan (OMP) to
dirt suspension help farmer
manures. in air and assess odor
produce issues in the
substances farm and
called VOCs alleviate the
from manures, issue
beddings and
dust [x] Practice
sanitary
housekeeping
in the area.
[x] Provide
plant or trees
fence as cover
or buffer to
minimize bad
odor.
22

Measure O&M Plan)
8. Local [x] Project will [x] Hiring Project O&M Contractor
employment provide local priority shall operation /PLGU
employment be given to period
opportunities. qualified local
residents.
9. .Other solid Project O&M Proponent

waste operation
generation of period
slaughtered
animals and
carcasses.
10. [x] Improper [x] Practice Project O&M Proponent
.Potential handling of solid waste operation
contaminati animal excreta management. period Group
on with will be a
animal nuisance to [x] Cover
excreta and natural excreta with
other animal environment, soil to avoid
diseases. soil, air, water breeding of
and the flies, and other
community. insects.
[x] Practice
composting
[x]Provide
Septic Tank
11. [x] [x] Practice Project O&M Project

Proliferation Considerable covered operation Proponent
s of insects, number of manure waste period
flies, rodents animals to be composting.
and other raised for this [x] Practice a
pests. purpose will sanitary
proportionatel housekeeping
y increase for the animals
other
insect/rodents
population.
12. X Deep well [x]Observe During O&M Proponent
Competition water operation Group/
in water use conservation LGU/
and depletion measures; NWRB
of water [x] Animal
resources manure
deposits
should be away
from any water
resources (i.e.
creeks, rivers,
and springs.
23

Measure O&M Plan)
13. Effects in X Agricultural [x] Strictly Project O&M Project
water observe proper operation Proponent
quality; excreta period
pathogens handling and
from animal disposal of
feces, wastewater
wastewater used for
used for washing purp
washing is
high in BOD X Practice
and composting.
pathogens
can cause DO
depletion in
the body of
water if not
treated.
14. [x] Workers are [x] Provide Project O&M Project
Occupational exposed to safety operation Proponent
health unsafe and guidelines for period
hazards to hazardous animal
workers in condition workers
animal (personnel
facility. [x] Operations protective
do not expose equipment at
workers to work, handling
hazardous/ of equipment,
unsafe etc.) against
conditions allergens,
infectious
diseases, and
physical
hazards of
animal bites.
[x] Provide
fences and
proper shelters
for these
animals.
[x]Provide
potable
water &
sanitary
facilities for
workers
[x]Provide
face
mask/surgical
mask
24

Measure O&M Plan)
[x] Provide bite
resistant
gloves and first
aid kits in
strategic areas
of the animal
facility.
15. Impacts [x] Unsanitary X Observe Project O&M Project

on animal raising proper operation Proponent
community will become a housekeeping period
health and breeding X Provide on-
safety. ground for site medical
insects, services for
rodents, outbreak of
diseases and diseases.
viruses. X Participate
in public
awareness
programs on
health and
safety
X Regularly
spray
disinfectant,
pesticides and
other similar
substances
when
applicable.
X Comply to
regulatory
requirements
for safety and
health.
X Closely
monitor
complaints
and
grievances.
16. Other [x] Workers are [x] The LGUs Project O&M PG, LGU
complaints/ dissatisfied will be operation
feedbacks of regarding the required to set period
the PAPs services offered up a
regarding and their Grievance
the project benefits from Redress
impacts to the project. Mechanism
their (PRDP’s Sec.
properties, [x] The 5.0 of the
economic community is IESSF) to
well being, being affected address and
by the
pollution
25

Measure O&M Plan)
environment discharges of resolve their
al quality etc. the animal complaints.
facility.
Prepared by:
Gilbert C. Malunes
President, PG
Noted by the PPMIU:
______________________________
PPDC/PPMIU Focal Person
26
V. Sustainability Plan of Cattle Fattening Micro Enterprise of EPMPAC
LIVESTOCK
Subproject
Category
Sustainabi Time Frame
lity Respons
Logistics
Mechanis Enabling Total ible
Areas Requirem Remarks
ms/ Activities Start End Durat Persons
ents
Parameter ion / Units
s
Conduct
regular
vaccinatio
n,
Animal Last
dewormin 1st Veterinary
Health Care quart to be
TECHNICA g and Quart contin Mun biologics,
& er of included in
L vitamins er of uing Vet/ equipment
Manageme the the WFP
suppleme the yr s, TE
nt yr
ntation in
coordinati
on with
MLGUs
Institutiona
lization of a
technology
protocol
contained
Regular
in a
conduct of
Livestock
refresher
manageme
courses on can be
nt manual,
animal coordinated
brochures, Sept Dec contin Mun Supplies &
health with NGA
training 2016 2016 uing Vet/ materials
care & such as ATI,
hand-outs
mgt. DA others
and project
including
proposals
at the PO
(from DA)
level
for small
and large
ruminants
covering
policies
PCIC
Animal Annu contin Insurance
PO Coverage
insurance al uing Form
Program
Estab. &
maintaine
d nursery
for forage Sept Dec contin PVO/OP Supplies &
& pasture 2016 2016 uing AG materials
as source
of planting
materials
Improved
conduct Sept Dec contin PVO/OP TE, Meals
Genetic
A.I. 2016 2016 uing AG & snacks
Quality
27
Restockin
g of
superior
quality 15- 15- contin PVO/OP
TE
stocks to Jan Dec uing AG
mun.
breeding
centers.
Conduct of
Meals, can be
INSTITU- Strengtheni coordinati quart contin PVO/OP
snacks & coordinated
TIONAL ng of POs on erly uing AG/MAO
venue with DA
meetings
Submissio
n of
reports Sept Dec contin
PO Fees
with 2016 2016 uing
SEC/CDA/
DOLE etc.
mgt,
conduct of Sept Dec contin PVO/OP Supplies & financial &
trainings 2016 2016 uing AG/MAO materials developmen
tal trainings
Federation Conduct of
of POs & PO TE,
Sept Dec contin DA,ATI,P
alliances conventio Registratio
2016 2016 uing /MLGU
with bigger n/congres n Fees
Asso. s
conduct of
bench TE
marking
Attendanc
e to
regional & TE,
national Registratio
livestock n Fees
& poultry
congress
Install
criteria on
Recognitio incentives in
selection Sept Dec contin DA,P/ML
n& Plaque form of
for Best 2016 2016 uing GU
incentives projects
Performing
Pos
The LGU
has
institutiona
lized the
Include in
provision
the Annual
of a yearly
Procurem Sept Dec contin MA, LFC, Office
FINANCIAL budget
ent and 2016 2016 uing Budget supplies
from its
Operation
IRA, other
s Plan
revenues to
support the
livestock
production
28
and
dispersal
program
which
covers
manpower
mobility
and
logistics
support the
capability-
building for
its staff and
selected
PO/farmer
beneficiarie
s.
Incorporat
e in the
Municipal
Investmen
t and Tax Janua Dece 2015-
SB, LFC
Ordinance ry mber 2016
to collect
fees for
Veterinary
services
Advocacy
on
organic/nat
ural
farming to PVO, MA,
Materials
ensure that Conduct Livestoc
Sept Dec contin (inputs,
there training k
2016 2016 uing training
would be on NFTS Raisers,
supplies)
no adverse PO
effect on
the
environme
nt.
Proper
waste
disposal
and
building,
ENVIRON- utilization Vermi- Sept Dec contin PVO, MA
inputs,
MENTAL of manures culture 2016 2016 uing , PO
equipment
for organic
fertilizer or
methane
gas.
29
VI. FINANCIAL ASPECT
Financial Assumptions
To determine the performance of the proposed project, projected financial statements

were computed based on the given assumptions presented in the different aspects of the
study. The proposed project has the following assumptions:
 Working Capital for the project will be the proponent’s equity.

 Fixed Assets are depreciated using straight-line method with an estimated
useful life of 5 year for Animal Shed and Forage Chopper of 10 years
 Projected selling price is on average. It is based on prevailing price in the area.
 Dividends and Patronage Refund is equivalent to 50% of the association’s net
income;
 Cost of labor for animal care is P53, 000.00/mo.
 Cost of cattle to be fattened is Php25,000/head, delivered;
 Animal shed cost is Php88,297.50/unit useful life is three (5) years;
 Target period of fattening the animals is four (4) months; purchase period for
the 1st month and marketing period for the 4th month
 Selling price for the fattened animal is expected to be in the average of Php39,
900.00/head.
 The selling price per kilo of the cattle is P95.00 and the expected output is
420kgs per cattle
 Estimated annual increase in costs (direct & indirect cost) is 5%.
 Cost of Forage Planting Operation Php35,319.00
 Cost of Light and Power Php7,200.00
 Cost of Raw Materials for Concentrate Php193,162.00
 Cost of Fuel Php21,420.00
 Cost of Forage Chopper Php123,000.00
 Cost of Biologics Php8,838.00
 Cost of Water Consumption Php2,755.62
 Cost of Livestock Technician and Cattle Supervisor Php5,000.00
INVESTMENT/PROJECT COST
The proposed project on Cattle Fattening of El Nonok Primary Multi Purpose
Agricultural Cooperative will have a total project cost of Php1,212,992.12. The Loan
Proceeds (LP) is amounting to Php600,000.00, Government of the Philippines (GOP)
Php200,000.00, and Local Government Unit (LGU) have a counterpart of Php200,000.00
each respectively. Out from the total project cost, the Proponent Group (PG) will have an
30
equity amounting to Php212,992.12 which is composed of Animal shed, fixed assets and
other working capital.
TABLE 11. Total Investment/Project Cost
AMOUNT (Php) FUND SOURCE

COMPONENT/ LINE
ITEM
100% LP (Cash) GOP (Cash) LGU (Cash) Proponent Group
Civil Works 60% 20% 20% Cash Kind

Animal Shed (Capacity:
₱ 88,297.50 ₱ 88,297.50
27heads)
Forage Development ₱ 35,319.00 ₱ 35,319.00
Labor Fees ₱ 53,000.00 ₱ 53,000.00
Livestock Technician &
₱ 5,000.00 ₱ 5,000.00
Cattle Supervisor
Lights and Power ₱ 7,200.00 ₱ 7,200.00
Water Consumption ₱ 2,755.62 ₱ 2,755.62
Fuel Consumption ₱ 21,420.00 ₱ 21,420.00
Total enterprise cost ₱ 212,992.12 ₱ 28,620.00 ₱ 184,372.12
Cattle to be Fattened
(total of 27steers) at 275-
₱ 675,000.00 ₱ 405,000.00 ₱ 135,000.00 ₱ 135,000.00
325 Kgs cost per head of
25,000
Forage Chopper ₱ 123,000.00 ₱ 73,800.00 ₱ 24,600.00 ₱ 24,600.00
Raw Materials for
₱ 193,162.00 ₱ 115,897.20 ₱ 38,632.40 ₱ 38,632.40
Concentrate
Cattle Biologics ₱ 8,838.00 ₱ 5,302.80 ₱ 1,767.60 ₱ 1,767.60
Project Cost ₱ 1,000,000.00 ₱ 600,000.00 ₱ 200,000.00 ₱ 200,000.00
GRAND TOTAL ₱ 1,212,992.12 ₱ 28,620.00 ₱ 184,372.12
In a 1 million micro-enterprise, EPMPAC extracted an amount of P675, 000.00 for 27

steers, P123, 000.00 for 1 machine that will be utilized for the cattle fattening operations,
P193, 162.00 for the raw materials in formulating concentrate and P8, 838.00 for the cattle
drugs and biologics. The PG will have a Cash and Kind Equity amounting to P212,992.12
TABLE 12. LP- GOP- LGU COST SHARING

ENTERPRISE COST INFASTRUCTURE COST
TOTAL AMOUNT
FUND SOURCE
Amount PhP Amount PhP
Cost Sharing Cost
(%) Sharing (%)
LP 600,000.00 60 80 600,000.00
GOP 200,000.00 20 10 200,000.00
LGU 200,000.00 20 10 200,000.00
TOTAL 1,000,000.00 100 100 1,000,000.00
PG EQUITY 212,992.12 21.29% 212,992.12
TOTAL WITH
PG 1,212,992.12 1,212,992.12
The financing mix will be 60-20-20-20, Php600,000.00 will be for the Loan Proceed
(LP), Php200,000.00 for the Government of the Philippines (GOP), Php200,000.00 for
the Local Government Unit (LGU) and Php212,992.12 for the Proponent Group (PG)
with a total amount with Php1,212,992.12
31
Table 13. Production Schedule @ 4 Months Per Cycle For Cattle Fattening
ONE TOTAL No. of

Month
Month
Month
Month
Month
Month
Month
Month
Month
Month
Month
Month
YEAR Heads for One
10
11
12
1
9
PERIOD Year Period
No. of
heads 27 27 27
81 heads
fattened heads heads heads
cattle
The PG will have a 27 steers to fatten in 1 cycle at 4 months, a total of 81 heads in 1
year of its operation.
Table 14. Purchase Cost
Cost Per Unit CYCLE Year

Particulars Quantity Unit
1ST Cycle 2ND Cycle 3rd Cycle 1 2 3
Cattle 27 heads ₱ 25,000.00 ₱ 675,000.00 ₱ 675,000.00 ₱ 675,000.00 ₱ 2,025,000.00 ₱ 2,126,250.00 ₱ 2,232,562.50
Total Cost ₱ 675,000.00 ₱ 675,000.00 ₱ 675,000.00 ₱ 2,025,000.00 ₱ 2,126,250.00 ₱ 2,232,562.50
The cost of 1 unit steer Php25, 000.00, having an initial weight ranging from 275kg-
300kg, average of purchased cost per year Php2,127, 937.50 and the purchase cost is
assumed to increase by 5% per annum. The buying price was based on the market in the
area.
Table 15. Direct Materials
Yr 1
Raw Materials for Cattle Fattening Yr 2 Yr 3
Particulars Quantity Unit Unit Cost
1 st Cycle 2 nd Cycle 3 rd Cycle Total
Hammered Corn 4,897.46 kg ₱ 13.00 ₱ 63,667.00 ₱ 63,667.00 ₱ 63,667.00 ₱ 191,001.00 ₱ 200,551.05 ₱ 210,578.60
Cassava Powder 2,250.00 kg 6.00 ₱ 13,500.00
13,500.00 13,500.00 ₱ 40,500.00 ₱ 42,525.00 ₱ 44,651.25
Copra Meal 1,200.00 kg 12.00 ₱ 14,400.00
14,400.00 14,400.00 ₱ 43,200.00 ₱ 45,360.00 ₱ 47,628.00
Fish Meal 750.00 kg 40.00 ₱ 30,000.00 30,000.00 30,000.00 ₱ 90,000.00 ₱ 94,500.00 ₱ 99,225.00
Soya Meal 1,287.00 kg 35.00 ₱ 45,045.00 45,045.00 45,045.00 ₱ 135,135.00 ₱ 141,891.75 ₱ 148,986.34
Molasses 1,500.00 kg 15.00 ₱ 22,500.00 22,500.00 22,500.00 ₱ 67,500.00 ₱ 70,875.00 ₱ 74,418.75
Salt 450.00 kg 5.00 ₱ 2,250.00 2,250.00 2,250.00 ₱ 6,750.00 ₱ 7,087.50 ₱ 7,441.88
Limestone 450.00 kg 4.00 ₱ 1,800.00 1,800.00 1,800.00 ₱ 5,400.00 ₱ 5,670.00 ₱ 5,953.50
TOTAL 12,784.46 kg ₱ 193,162.00 ₱ 193,162.00 ₱ 193,162.00 ₱ 579,486.00 ₱ 608,460.30 ₱ 638,883.31
The crude protein being formulated was analyzed at 16%CP; unit cost of the different
feed stuff was based on the minimum suggested retail price. The volume of raw materials
was intended for 1 cycle of cattle fattening.
32
Table 16. DRUGS AND BIOLOGICS
Amount
Particulars Quantity Unit Cost (Php)
(Php)
Vitamins
6 bottles 360.00 2,160.00
EDA
Dewormer 1 liter 3,500.00 3,500.00
Hemosep 1 bottle 3,178.00 3,178.00
TOTAL 8,838.00
Drugs and Biologics is very important aspect in Cattle Fattening enterprise, large
animal needs prevention and to have a strong immunity to maintain its healthy condition.
EPMPAC provide an amount of Php8, 838.00 for 1 cycle.
Table 17.Forage Development
Total Amount
Activity Unit cost
(Php)
Plowing/Harrowing 1,300.00/pass x 2 2,600.00
Labor/Planting 1,500.00/ha 1,500.00
Planting
9,113.00pcs x3/pc 27,339.00
Materials/Hauling
Fertilization:
Urea 3 bags 1,000.00 x 3 3,000.00
Labor for fertilization 60/bag x 3 180
Hilling up 700/ha 700
TOTAL 35,319.00
Sufficient supply of forage is very crucial in Cattle Fattening, in order to sustain the
Project; EPMPAC will establish a forage production area. The initial input is expensive due
to the cost of Planting Materials and some operations of the production, an amount of Php35,
319.00 for 1 hectare of production.
Table 18. Depreciation Cost

Fixed Assets Depreciation Schedule
Useful
Cost Life
Yr 1 Yr 2 Yr 3 Yr 4 Yr 5 Yr 6 Yr 7 Yr 8 Yr 9 Yr 10
Animal
88,297.5 5 17,659 17,659 17,659 17,659 17,659
Shed
Forage
123,000 10 12,300 12,300 12,300 12,300 12,300 12,300 12,300 12,300 12,300 12,300
Chopper
Fixed assets was depreciated using a straight line-method, animal shed has a useful
life of 5 years and the machines for 10 years of useful life.
Table 19. Fuel Consumptions

Fuel Yr 1
Fuel
Consum
Cost
ption
PARTICULARS per Yr 2 Yr 3
per day 1st Cycle 2nd Cycle 3rd Cycle Total
liter @
(in
Yr 1
liters)
Trailer 0.35 30.00 1,260.00 1,260.00 1,260.00 3,780.00 3,969.00 4,167.45
Forage Chopper 5.60 30.00 20,160.00 20,160.00 20,160.00 60,480.00 63,504.00 66,679.20
TOTAL 5.95 21,420.00 21,420.00 21,420.00 64,260.00 67,473.00 70,846.65
33
A trailer will be used every day to haul the cut forage and consumed 0.35 liter/day.
The forage chopper consumed fuel in every day of its operation to produce freshly chopped
forage at 5.6 litres/day at 2.67hrs of operation using its 10Hp engine, it has an output of
1000kg of chopped forage, having total consumptions of 714 litres of fuel at 1cycle, an
average of Php67,526.55 in 3 years of operation and increase in cost at 5% average inflation
rate per year. This inflation rate was given by DA-12 RFU and the basis for this increase dated
on year 1996 to2016.
Machine Specifications:  10HP Kubota RT 100

 375kg/hr
 2.1li/hr diesel fuel consumption
 Water cooled engine
 2400rpm
Note:  Machine Specifications of Supplier and Kubota Company
Table 20. Water Consumptions
Cattle Water Consumption

Weight lbs Temperature F
40 50 60 70 80 90
400 4 4.3 5 5.8 6.7 9.5
600 5.3 5.8 6.5 7.8 8.9 12.7
800 6.3 6.8 7.8 9.2 10.6 15
1000 7.3 7.8 9.3 10.7 12.45 17.5
The average weight of cattle weighs 762lbs, average temperature 60 F, and average
water intake daily 7.5 gal/day having a total consumption at 27 heads 765.45 litres/day, 1
cycle water consumption of 91.85 cubic meters at Php30/cubic meters minimum. The total
cost will be Php2,755.62
Note: Source NRC, 2000. Nutrient Requirements of Beef Cattle, 7th revised edition
Table 21. Lights and Power Consumptions
ELECTRICITY CONSUMPTION
CONSUMPTION PER MONTH CONSUMPTION PER CYCLE IN
WATTAGE HOUR USED PER (Watt-Hr) (KW-HR)
LOAD (WATT) DAY
4 Flourescent
Lamp 40 11 13200 52.8
1 Electric Stove 958.33 2 57500 230
1 Television 100 4 12,000 48
1 Radio 50 3 4,500 18
Rice Cooker 1,546.66 2 92,800 371.2
TOTAL 2,694.99 22 180,000 720

In 1 clycle of its operation, the total consumption will be 720KW-HR using the
above electric loads and it si assumed to have a Php10/KW-HR. The total cost of electric
consumptions will be Php7,200.00
34
Table 22. Labor Fees for One (1) Cycle
Rate per No. of No. of

Activities TOTAL COST
day worker/s working days
Forage Planting
182.5 8 10 14,600.00
Forage Harvesting,
Chopping, Mixing of
Concentrate,
Feeding & Raring of
Cattles 160 2 120 38,400.00
TOTAL 482 10 130 53,000.00
In forage development and establishment of planting materials for forage production
an amount of Php17,000.00 will go to forage planting at 10 workers and Php36,000.00 for
forage harvesting, chopping, mixing of concentrate and raring of cattle for two workers
having a total Php53,000.00 at 12 workers.
Table 23. Production Cost and Returns at One (1) Cycle
Projected Income Statement of the Cooperative

For the Period Ended
Year 1
Particulars 1st Cycle
Sales of Fattened Cattle (27 heads)

₱ 1,077,300.00
(420kg x Php95/kg live weight)
Less: Production Cost
Purchases (Cattle to be Fattened) ₱ 675,000.00

Direct Materials Input
Materials for Concentrate 193,162.00
Water Consumption 2,755.62
Drugs and Biologics 8,838.00
Direct Labor 53,000.00
Production Overhead
Forage Development 11,773.00
Fuel Consumption 21,420.00
Light and Power 7,200.00
Livestock Technician & Cattle Super visor 1,666.67
Depreciation Cost 9,986.50
Total Production Cost ₱ 984,801.79
Net Income ₱ 92,498.21
In 1 cycle 4months or 120 days of the fattening schedule, a sale of Php1, 077,300.00
for 27heads of cattle at an assumption of 420kg final weight, selling is also assumed at
Php95.00 at live weight. The total production cost of Php984,801.79 having a net income of
Php92,498.21 at 1 cycle.
35
Table 24. Projected Sales

1st Cycle 2nd Cycle 3rd Cycle
Particulars Year 1 Year 2 Year 3
MONTH 1 - 4 MONTH 5 - 8 MONTH 9 - 12
Cattle to be
Fattened
(heads/cycle) 27 27 27 81 81 81
Multiplied by:
Average Selling
Price of Fattened
Cattle 39,900 39,900 39,900 39,900 41,895.00 43,989.75
Total Sale
1,077,300.00 1,077,300.00 1,077,300.00 3,231,900.00 3,393,495.00 3,563,169.75
The projected sales of 1 head fattened cattle Php39, 900.00 increase in selling by 5%
per annum having an average total sale Php3, 396,188.25 at 81 heads per year.
Table 25. Income statement of individual cattle
Projected Income Statement of Individual Cattle

Year 1 Year 2 Year 3
Particulars
1st Cycle 2nd Cycle 3rd Cycle 1st Cycle 2nd Cycle 3rd Cycle 1st Cycle 2nd Cycle 3rd Cycle
SALES of Fattened Cattle (27heads) 39,900.00 39,900.00 39,900.00 41,895.00 41,895.00 41,895.00 43,989.75 43,989.75 43,989.75

Cost of Cattle to be Fattened 25,000.00 25,000.00 25,000.00 26,250.00 26,250.00 26,250.00 27,562.50 27,562.50 27,562.50
Direct Materials Input 7,154.15 7,154.15 7,154.15 7,511.86 7,511.86 7,511.86 7,887.45 7,887.45 7,887.45
Water Consumtion 102.06 102.06 102.06 107.16 107.16 107.16 112.52 112.52 112.52
Production Inputs/ Materials Used 327.33 327.33 327.33 343.70 343.70 343.70 360.88 360.88 360.88
Direct Labor 1,962.96 1,962.96 1,962.96 2,061.10 2,061.10 2,061.10 2,164.16 2,164.16 2,164.16
Livestock Technician & Supervisor 61.73 61.73 61.73 64.81 64.81 64.81 68.06 68.06 68.06
Indirect Materials 1,060.00 1,060.00 1,060.00 1,113.00 1,113.00 1,113.00 1,168.65 1,168.65 1,168.65
Subtotal Production Cost 35,668.23 35,668.23 35,668.23 37,451.63 37,451.63 37,451.63 39,324.21 39,324.21 39,324.21
Gross Profit 4,231.77 4,231.77 4,231.77 4,443.37 4,593.44 4,593.44 4,665.54 4,811.57 4,811.57
Net Income per Cattle 12,695.31 13,330.11 13,996.62
The sale of 1 head cattle average for 3 years Php41, 928.25, three cattle’s every year
for 3 cycles, an average of Php13,340.68 net income per year and increase by 5% per annum.
36
Table 26. Projected Income Statement of the Cooperative
Projected Income Statement of the Cooperative

Year 1
Year 2 Year 3
Particulars 1st Cycle 2nd Cycle 3rd Cycle Total
Sales of Fattened Cattle (27 heads)

₱ 1,077,300.00 ₱ 1,077,300.00 ₱ 1,077,300.00 ₱ 3,231,900.00 ₱ 3,393,495.00 ₱ 3,563,169.75
(420kg x Php95/kg live weight)
Purchases (Cattle to be Fattened) ₱ 675,000.00 ₱ 675,000.00 ₱ 675,000.00 ₱ 2,025,000.00 ₱ 2,126,250.00 ₱ 2,232,562.50

Direct Materials Input
Materials for Concentrate 193,162.00 193,162.00 193,162.00 579,486.00 608,460.30 638,883.31
Water Consumption 2,755.62 2,755.62 2,755.62 8,266.86 8,680.20 9,114.21
Drugs and Biologics 8,838.00 8,838.00 8,838.00 26,514.00 27,839.70 29,231.69
Direct Labor 53,000.00 53,000.00 53,000.00 159,000.00 166,950.00 175,297.50
Production Overhead
Forage Development 11,773.00 11,773.00 11,773.00 35,319.00 37,084.95 38,939.19
Fuel Consumption 21,420.00 21,420.00 21,420.00 64,260.00 67,473.00 70,846.65
Light and Power 7,200.00 7,200.00 7,200.00 21,600.00 22,680.00 23,814.00
Livestock Technician & Cattle Super visor 1,666.67 1,666.66 1,666.66 5,000.00 5,250.00 5,512.50
Depreciation Cost 9,986.50 9,986.50 9,986.50 29,959.50 29,959.50 29,959.50
Total Production Cost ₱ 984,801.79 ₱ 984,801.78 ₱ 984,801.78 ₱ 2,954,405.36 ₱ 3,100,627.65 ₱ 3,254,161.05
Net Income ₱ 92,498.21 ₱ 92,498.22 ₱ 92,498.22 ₱ 277,494.64 ₱ 292,867.35 ₱ 309,008.70
The sales of 27 heads fattened cattle at 420kg final weight assumption at Php95.00/kg live
weight Php1,077,300.00 having a total average selling price for 3 years and increase by 5% per
annum Php3,396,188.25, less the average total production cost Php3,103,064.69. The total
average net of Php292,123.56 projected in 3 years
Table 27. Return On Investment
Average Net Income ₱ 293,123.56

ROI 24.17%
Capital Investment ₱ 1,212,992.12
The Return On Investment for the Cattle Fattening and Marketing is 24.17% at 3
years of projection.
Table 28. INCOME OF THE COOPERATIVE
Incentives of
Income of the
the Cooperative
Cooperative
Total Members
Year Total Sale Total Expense
Income
(50% of the (50% of the
total net total net
income) income)
1st ₱ 3,231,900.00 2,954,405.36 277,494.64 138,747.32 138,747.32
2nd 3,393,495.00 3,100,627.65 292,867.35 146,433.67 146,433.67
3rd 3,563,169.75 3,254,161.05 309,008.70 154,504.35 154,504.35
The average total sale for 3 years of projection Php3,396,188.25 having a total
average income Php292,123.56 the incentives of the Cooperative Members 50% of the total
net average income Php146,561.78 and Income of the Cooperative 25% of the total net
Php73,73,280.89 and for expansion purposes 25% Php73,73,280.89
37

PRE-ELNOK (Repaired) (Repaired)

Încărcat de

Informații document

Titlu original

Drepturi de autor

Formate disponibile

Partajați acest document

Partajați sau inserați document

Opțiuni de partajare

Vi se pare util acest document?

Este necorespunzător acest conținut?

Drepturi de autor:

Formate disponibile

PRE-ELNOK (Repaired) (Repaired)

Încărcat de

Drepturi de autor:

Formate disponibile

EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL COOPERATIVEBrgy.

TABLE OF CONTENTS Page

List of Tables Page

Table 1. Enterprise Profile . . . . . . . . 3

List of Figures Page

Figure 1. Organizational Structure of Cattle Fattening Operation . . 12

Figure 2. Organizational Structure of the Cooperative . . . . 13

Title CATTLE FATTENING AND MARKETING

Stage of enterprise/s X START -up; Expansion; Upgrading

Name of the EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL COOPERATIVE

Target Buyers Local Buyers/Open Market Buyer to Manila

Table 2. INVESTMENT CAPITAL REQUIREMENT

Civil Works 60% 20% 20% Cash Kind

Total enterprise cost ₱ 212,992.12 ₱ 28,620.00 ₱ 184,372.12

In a 1.2 million micro-enterprise, EPMPAC allotted an amount of Php675, 000.00 for

Table 3. LP- GOP- LGU COST SHARING INFASTRUCTURE

The barangay El Nonok in the municipality of Banga, province of South Cotabato, is

The proponent group EL NONOK PRIMARY MULTI PURPOSE AGRICULTURAL

The proposed project on Cattle Fattening of El Nonok Primary Multi Purpose

The project aims to improve the lives of members by providing them

BRIEF DESCRIPTION OF THE PROPONENT

II. MARKET STUDY

Some of the recommended tropical breeds are:

Production and Operation Process

Facilities and Equipment

Proper housing is important in successful cattle fattening operation. Adequately

Ownership and Management

Figure 1. Organizational Structure of Cattle Fattening Operation.

III. OPERATIONAL PLAN

Figure 2. Organizational Structure of the Cooperative.

Cattle Fattening Education & Training

AUDIT COMMITTEE ELECTION COMMITTEE

Project Management Roles and Functions

Table 4. Target Buyer

Volume Frequency of Marketing

Source: OMAG Banga and OPAG South Cotabato

A. Comparative analysis of individual farmer income under scenarios of:

Table 5. Cattle Fattening Calendar w/o PRDP citing 1 cattle.

Production Costs and Returns (one-cycle/yr) w/o PRDP citing 1 cattle.

I. Production Volume (Final Wt. of Cattle)

Cost of Cattle @ initial wt. of 180kgs 25,000.00

Table 9. Comparative analysis of income of individual farmers for one year of

III. Total Gross Sales (PhP)

IV. Total production Cost P 23,982.06/cattle P 35,668.23/cattle

V. Net Income (PhP) P 3,017.94 P 4,231.77

% increase in income 40%

As the project soon will be implemented job/employment will be generated, as

Table 10. Additional Jobs to be generated

Job Number of Jobs Cost Equivalent (per person per

Caretakers 1 2 3,650.00 38,400.00

IV. SOCIAL AND ENVIRONMENTAL SAFEGUARDS

Social Safeguard Aspect

Concerns and inputs during the meeting:

1) Stability of the market of cattle;

C. Status of Land Ownership

Environmental Safeguard Aspect

B. Hazards/Risk Assessment (Drainage Situations, Erosion and Flooding Potential)

There is no drainage situation, erosion and flooding potential involved in the

C. Social and environmental Impact

There will be no negative environmental impact caused by the proposed enterprise

The following is necessary to comply for the projects to wit:

1. The enterprise will pass social and environmental plan to ensure

ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN (ESMP)